Utkarsh SFB transfers Rs 727 Cr stressed loans to ARCs at about Rs 150 Cr
UTKARSHBNK · price
▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.
Utkarsh SFB completed sale of stressed loan portfolio worth about Rs 727 Cr (principal outstanding as on 31 March 2026) to Asset Reconstruction Companies for about Rs 150 Cr. Three pools were sold: 2.14 lakh unsecured microfinance loan accounts with Rs 650 Cr principal sold to Prasaditya ARC and ARCIL, and 288 secured commercial vehicle and construction equipment loans of Rs 76 Cr to ARCIL. Recovery is roughly 20 percent of principal, indicating a steep haircut. The move shifts NPAs and written-off accounts off the books.
Positive for asset quality as NPAs are removed, but a discount of about 80 percent suggests the loss was largely provisioned earlier.